Terra Coin Price Skyrocketed 30% But Will This Rally Sustain?
For the past three weeks, the Terra coin price resonated within a consolidation phase of a bearish pennant pattern. Though this pattern should bolster sellers to extend the prevailing downtrend, the price undermined this bearish setup with the sudden surge in buying pressure. A bullish breakout pattern’s resistance offers recovery opportunities for coin holders.
Key points:
- A bullish breakout from the downsloping trendline open Terra coin for 18.3%
- The 50-day EMA stands as a strong hurdle for LUNA price recovery
- The intraday trading volume in the LUNC coin is $715.5 Million, indicating a 180.5% gain.
Source- Tradingview
From September 10th to 26th, the LUNA holders witnessed an aggressive sell-off which plunged the price to $2 psychological support. Following this downfall, the altcoin started walking a lateral path as the crypto market experienced uncertainty among market participants.
Furthermore, a price consolidation after a sharp fall revealed the formation of a pennant pattern. This bearish continuation pattern usually promotes the continuation prior downtrend upon the breakdown of the lower support trendline.
However, in a rare case scenario just like today, the Terra coin price gave a massive breakout from the overhead trendline. It seems the strong whale activity backed the sudden price jump as the LUNA token became the top holding among 100 Ethereum whales.
Thus, earlier today, the altcoin jumped 30% and showcased a massive breakout from the pattern’s resistance trendline. However, short-term traders’ profit booking reverted to the lower prices where it currently trades at $2.75.
If the Terra coin price closes above the downsloping trendline and $2.73 resistance, the bearish thesis will get invalidated. This development should surge the prices 20% higher to surpass the $3.25 mark.
Technical Indicator
Relative strength index: With the bullish breakout from the daily-RSI slope jump above the midline, indicating the market sentiments support the potential bullish recovery
EMAs: the rising price jumps above the 20-day EMA offers additional support to maintain the price rally.
Terra Coin Price Intraday Levels
- Spot rate: $2.75
- Trend: Bullish
- Volatility: High
- Resistance level- $0.00032 and $0.000387
- Support level- $0.000255 and $0.00016
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